04/06/2025 (Oils and Fats International) - Leading palm oil company SD Guthrie, formerly known as Sime Darby Plantation (SD Plantation), has delivered a strong first quarter due to the improved performance of its upstream segment.

In the period ended 31 March, the plantation firm’s quarterly net profit more than doubled to MYR567M (US$133M) from MYR211M (US$49.6M) recorded in the same quarter last year, the company said on 7 May.

Quarterly revenue climbed to MYR4.82bn (US$1.13bn) from RM4.34bn (US$1.02bn) in the same period last year.

In a statement, SD Guthrie said its upstream segment benefited from higher average realised crude palm oil (CPO) and palm kernel (PK) prices and increased fresh fruit bunch (FFB) production.

“The group’s realised CPO and PK prices averaged MYR4,576 (US$1,076) and MYR3,342(US$785.3)/tonne respectively, a corresponding increase of 18% and 72%.

“FFB production in the group’s Indonesian operations rose 11% while production in Papua New Guinea and Solomon Islands improved by 10%, cushioning the 7% decline in the group’s Malaysian operations,” the company said.

The group’s downstream arm, SD Guthrie International (SDGI), recorded a lower first quarter profit before interest and tax of MYR76M (US$17.8M), which was 37% lower than the same period last year.

“SDGI’s performance was impacted by lower margins in the bulk and differentiated product segments, as well as weaker demand in its European and trading operations. This, however, was partially mitigated by better performance and higher profits from its Asia Pacific operations,” the company said.

The group rebranded to SD Guthrie after receiving shareholders’ approval last May.

https://www.ofimagazine.com/news/sd-guthries-first-quarter-net-profit-jumps-to-myr567m